KANNUR INTERNATIONAL AIRPORT LIMITED (KIAL) Status Report as on 5 May Total land planned for the project acres

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KANNUR INTERNATIONAL AIRPORT LIMITED (KIAL) Status Report as on 5 May 2017 Total land planned for the project - 2061 acres Already acquired & available with KIAL - 1277.93 acres Balance land under acquisition - 259.5 acres (excluding denovo area of 131.46 acres,40 cents for emergency approach road and 3.55 acres for IIIrd phase acquisition) The land presently available is adequate to commence the project. 1. ENVIRONMENTAL CLEARANCE Ministry of Environment & Forest granted necessary Environmental clearance for the project, vide MoEF letter no. nil dated 19 th July 2013. Completed 2. STATUS OF CLEARANCES FROM MINISTRY OF DEFENCE (MoD), MINISTRY OF HOME AFFAIRS (MHA) AND DGCA Ministry of Defence, GOI renewed its NOC on 28 th September, 2012 for a period of 5 years. Ministry of Home Affairs accorded security clearance for the proposed airport vide letter dated 12 th October 2012. DGCA accorded site clearance of the proposed airport vide its letter dated 17 th August 2012. Master plan submitted to DGCA and other concerned authorities. Security vetting first inspection carried out by Regional Deputy Commissioner of Security, BCAS along with IB, Customs, CISF, Local Police & KIAL Officials on 19 th November 2013. Keezhallur Gramapanchayat accorded clearance vide its letter no. A5-3860/13 dated 19 October 2013. 1 P a g e

Mattannur Municipality accorded clearance vide its letter no. E2-11681/13 dated 4 November 2013. The consent to establish Airport has been accorded by Kerala State Pollution Control Board to commence the work. DGCA Officials carried out preliminary inspection of the site on 28 August 2014. Site inspection was carried out by IMD Officials represented by Dy.Director General Shri R.R.Mali & Shri S.B.Thampi on 03 & 04 September 2015. Security vetting second inspection carried out by Regional Deputy Commissioner of Security, BCAS along with IB, Customs, CISF, Local Police & KIAL Officials on 29 th May 2015. Memorandum of Understanding ( MoU ) between Airports Authority India (AAI) and KIAL has been signed on 24 June 2015 for investing Rs 100 crores in the equity capital of KIAL. Balance funds committed is yet to be confirmed by AAI. A team lead by Shri B.N.Shetty,Dy Director General, National Informatics Centre,NewDelhi had visited the site on 30 November 2015 for ascertaining and finalizing the requirements of immigration system at KIAL. A site inspection was carried out by DGCA Official Shri Y.V.Subramaniyan,Aerodrome Inspector on 30 January 2016 to ascertain the Civil Aviation Requirement (CAR) compliance towards trial landing of a code B aircraft during February 2016. Security vetting third inspection carried out by Office of Regional Deputy Commissioner of Security, BCAS along with IB, Customs, CISF, Local Police & KIAL Officials on 01 June 2016. Security Vetting and Manpower Survey was carried out by Office of Regional Deputy Commissioner of Security, BCAS along with IB, Customs, CISF, Local Police & KIAL Officials on 20 & 21 April 2017. 3. PROJECT CONSULTANCY M/s. AECOM Asia Company Limited has been appointed as integrated project consultant for handholding the company from development phase till commissioning of the Airport. The consultant has finalized DPR and Master Plan as their first task and master plan has been brought out by them, after the review. The Master Plan & RFP were finalized based on the observations/ comments of KIAL and DGCA and the KIAL Board of Directors had already approved the Master Plan on 20 th March 2013. Some minor changes in the approved Master plan has been sanctioned by the KIAL Board 2 P a g e

of Directors. KIAL Board has decided to go in for item rate tender instead of EPC mode. Accordingly KIAL has awarded Engineering & Design Consultancy to M/s KITCO,Cochin for preparing the Detailed design for city side facilities,passenger terminal Building,connecting flyover, ATC & Technical Block. The salient features of the Project are detailed below: Airport Capacity FY 2026 No. of Passengers Aircraft Movements Cargo Capacity 4.67 million p.a. 39,638 p.a. 60,758 tons p.a. Peak Hour Aircraft movement 18 Facilities Runway length Terminal Building Area Apron Car/Bus Park ATC/Technical Building Ground Service Equipment Parking area Fuel farm 3050M 96,000 sq.m. 20 code C Aircraft parking stands 22,000 sq.m. 1200 sq.m. Around 7,750 sqm near the apron area 25,000 sq.m. 4. CONSTRUCTION CONTRACT EPC I Board of Directors of KIAL had approved RFQ for EPC-1 on 21 st January 2013. The RFQ was published on 22 nd January 2013 covering entire Airfields works like runway, taxiway, apron Ancillary Buildings required for housing CNS facilities, sub-stations, CCR Buildings, fire station, operational and other boundary wall, drain, retaining structure main approach road to airport from existing state road, car park etc. The financial bids were opened on 5 th November 2013 and the Board of Directors have approved the lowest offer of M/s. L&T to whom the work has been awarded on 5 th November 2013. The up to date progress of earth work is 189 lakhs Cu Mt earthwork. An afforestation plan including development of a greenbelt around the Airport has been taken up by KIAL and approximately 3.48 lakhs saplings have been planted in Mattannur/Keezhallur Panchayat area. 3 P a g e

Agreement for the provision of CNS/ATM facilities has been executed with Airports Authority of India at Delhi on 17 November 2014. Memorandum of Understanding (MoU) between Indian Meteorological Department (IMD) and KIAL has been signed at Delhi on 17 September 2014 for provision of aviation meteorological services. 93 % of airside works has been completed as on date. A total runway length of 3050 m has been completed. FUEL FARM BUSINESS AT KANNUR AIRPORT Bharath Petroleum Corporation Ltd(BPCL) will run the fuel farm business at Kannur airport in joint venture with KIAL.The company has already allotted equity shares worth Rs 170 crore to BPCL.Further BPCL has agreed to make an additional investment of Rs 46.80 crores in the equity capital of KIAL.A separate joint venture company is formed with equity participation of both KIAL & BPCL to run the fuel farm business. The works for fuel farm is progressing at site. CONSTURCTION CONTRACT Package A (Citywide facilities)- The Engineering & Design Consultant has prepared the Conceptual Drawings and Facility Planning for bidding process. The Board of Directors of KIAL has approved the RFQ for Package-A on 3 rd February 2014. The RFQ was published on 5 th February 2014 covering entire city side works. The scope of work in this package covers Integrated Terminal Building, ATC Control Tower, Technical Building and other E&M Equipment and Utility services. The Board of Directors have decided to adopt item rate tender for Phase-II works. Accordingly the RFQ and RFP process were completed and the work was awarded to lowest bidder M/s Larsen & Toubro Ltd who has quoted an amount of Rs 498 crores. The work was awarded on 25 June 2014.The foundation stone laying ceremony for the new terminal was held on 5 July 2014 by Hon ble Chief Minister, Government of Kerala. 85 % of city side works has been completed. The Project Management Consultancy work for the Integrated Terminal Building,ATC Tower, Technical Building, and associated works has been awarded to M/s KITCO Ltd for an amount of Rs 10.67 crores (including service tax) on nomination basis. ADDITIONAL WORKS AWARDED The Design, Manufacturing, supply, installation, Testing and Commissioning (DMSITC) including operation and All Inclusive Comprehensive Maintenance Contract (AICMC) for Baggage Handling system has been awarded to M/s Vanderlande Industries Private Limited,Pune for an amount of Rs 15,49,06,716/- 4 P a g e

excluding customs duty. The Design, Manufacturing, supply, installation, Testing and Commissioning (DMSITC) of Apron Drive type Passenger Boarding Bridges (PBBs) having glass walls with Advanced Visual Docking Guidance System (AVDGS) including operation and all-inclusive maintenance (AICMC) for PBBs & AVDGS has been awarded to M/s M/s Shenzhen CMC Tianda Airport Support Limited,China for an amount of Rs 1041000 USD for imported items (excluding customs duty)+ INR 2,82,86,175/-. The Supply, installation,testing and commissioning of 4 nos of Airfield Crash Fire tenders including AMC & AICMC has been awarded to M/s Rosenbauer International AG, Austria for an amount of Rs 21,11,63,398/- including customs duty. The Design, Manufacturing, supply, installation, Testing and Commissioning (DMSITC) of Elevators & Escalators system including All-inclusive comprehensive maintenance contract has been awarded to M/s Omega Elevators,Kochi for an amount of Rs 6,17,51,520/- including customs duty for Elevators works and M/s Johnsons Lifts Private Limited,Chennai for an amount of Rs 6,41,64,000/- including customs duty for Escalators work. The Supply, Installation, Testing and Commissioning of Door Frame Metal Detectors & Hand Held Metal Detectors has been awarded to M/s ECIL Rapiscan Ltd for an amount of Rs 55,75,499/- including all taxes and duties (excluding customs duty). The Interior Design /decoration works like murals/art works, Counters etc. for Kannur Airport has been awarded to M/s Square Associates for a total amount of Rs 3,37,11,875/-. The Supply, Installation, Commissioning of 14 Nos of DFMD & 23 Nos of HHMD Equipments including AICMC for 5 years awarded to M/s ECIL Rapiscan Ltd for an amount of Rs 55, 75,499/- (excluding customs duty). The Design, Supply, Installation, Testing and Commissioning of Tetra Digital Communication System awarded to M/s Telecommunication Consultants India Ltd for an amount of Rs 2,98,58,023/-. FINANCIAL CLOSURE The Detailed Project Report has been already prepared by the consultant and the Project Information Memorandum (PIM) has been prepared by SBI CAPS for submission to financial institutions for arranging debt component. The total debt component required for the project amounting to Rs 892 crores has been tied up with a consortium of three banks namely Canara Bank (Rs 692 crores), South Indian Bank(110 crores) and Federal bank(90 crores).the joint term loan agreement has been signed with the consortium banks on 20 May 2015. TRIAL LANDING As per the DGCA Clearance received a trial landing of a Code 2B type aircraft was planned on 29 Feb 2016 at 0900 Hrs. Accordingly a request was made by the GOK to 5 P a g e

GOI, Ministry Of Defence for sparing a Dornier type Aircraft. MoD had agreed the proposal to send a IAF owned Dornier 228 Type Aircraft for carrying out the trial Landing.The trial landing aircraft type Dornier228,Registration number VUBFN with Air Marshal R Nambiar and other crew Landed at VOKN (Kannur Airport) at 0906 Hrs. After a brief halt at the Airfield the aircraft left back to its Base at 1114 Hrs. As per the approval accorded for Trial operation VFR operation was to be carried out and the weather was conducive as per MET reports provided by IMD for VFR operation. Accordingly the flight was cleared to land from the makeshift ATC established at VOKN by AAI for trial operation. The trial operation was smooth and incident free. COMMERCIAL OPERATION Commercial operations are being planned by end of September 2017. 6 P a g e